When should a company consider converting a contractor to an employee?

A company may review conversion when the relationship is ongoing, the worker operates as part of the company’s team, the company directs the daily work or the business wants a formal employment structure.

What factors should be reviewed before conversion?

Review the actual responsibilities, level of control, supervision, payment structure, duration of the engagement, work schedule and intended future relationship.

Can a contractor be converted through an EOR?

Yes. An EOR can employ the worker in the Philippines and manage employment administration while the customer continues to manage the employee’s daily work.

How much does EOR conversion cost?

The standard EOR management fee is US$190 per employee per month. Salary, employer statutory contributions, 13th-month pay, benefits, allowances, equipment and other employee-specific costs are separate where applicable.

How quickly can an existing contractor be onboarded?

Existing contractors can generally be onboarded in as little as five business days once the applicable agreement, employee information, required documentation and funding are complete.

What happens to the final contractor payment?

The company should confirm the final contractor invoice or payment, the contractor end date, any work handover and the employee start date before beginning the new arrangement.

Is recruitment included in the EOR management fee?

Recruitment is not assumed to be included in the standard EOR management fee. Recruitment support, where requested, should be confirmed separately.

Should a company obtain legal or tax advice?

Companies should obtain professional advice where the classification, conversion or tax treatment depends on the specific facts of the relationship.

Are developers in the Philippines suitable for international teams?

The right fit depends on the developer's experience, technology stack, communication skills, role requirements and ability to work within your development processes. Candidates should be assessed against the specific technical and product requirements of the role.

What is the average developer salary in the Philippines?

There is no single salary that applies to all developers. Compensation depends on seniority, technology stack, experience, role scope and working arrangement. Total employment cost should also account for statutory contributions, 13th-month pay, benefits, allowances, equipment and the EOR management fee.

Can I hire developers without a company in the Philippines?

Yes. An Employer of Record arrangement can allow your company to employ developers in the Philippines without immediately establishing its own Philippine entity.

Is an agency better than an EOR?

The appropriate model depends on how you want the work to be managed. An EOR may suit companies that want to manage developers directly, while an agency or outsourcing arrangement may use a different delivery and management structure.

How do I maintain quality in a distributed development team?

Use clear requirements, documented workflows, code-review procedures, testing standards, communication processes, reporting expectations and regular performance management. Your company manages technical quality and daily performance.

What is the biggest mistake companies make when hiring developers?

A common problem is hiring without clearly defining the technology stack, role scope, reporting line, development workflow, security requirements and expected deliverables. These requirements should be defined before recruitment or employment setup.

What is the SOS EOR fee?

SOS charges one EOR management fee of US$190 per employee per month. This is the only SOS EOR rate. It is not a starting price, estimate or price range.

Is recruitment included?

Yes. Recruitment and candidate selection are included in the SOS EOR service, with no separate recruitment fee.

How quickly can an existing developer be onboarded?

Existing developers can generally be onboarded in as little as five business days once the required agreement, employee information, documentation and funding are complete. Recruitment of a new candidate may require additional time.

Who manages the developer's daily work?

Your company manages the developer's daily technical work, including projects, priorities, workflows, tools, code reviews, training and performance. SOS manages employment administration, payroll, statutory processes, employee records and agreed HR support.

Are SDRs in the Philippines suitable for international teams?

The right fit depends on the SDR's communication skills, sales experience, target-market knowledge, role requirements and ability to follow the company's sales process. Candidates should be assessed against the specific market, buyer profile, outreach channel and qualification requirements.

What is the average SDR salary in the Philippines?

There is no single salary that applies to all SDRs. Compensation depends on experience, role scope, target market, working hours, seniority and any approved incentive or commission structure. Fully loaded cost also includes statutory costs, 13th-month pay, benefits, tools, commissions and provider fees.

Can SDRs handle cold calling?

Yes. Cold calling can be included where the role, employee skills, systems, training, working hours and approved sales process support that arrangement.

Do I need to set up a company to hire SDRs?

Not immediately for an EOR arrangement. SOS can employ the SDR in the Philippines as the legal employer while your company manages the employee's daily sales-development work.

How do I maintain SDR performance?

Define the target market, outreach process, qualification criteria, KPIs, CRM requirements, reporting process and coaching schedule. Your company manages the SDR's daily performance and sales activity.

What is the biggest mistake companies make when hiring SDRs?

A common problem is hiring without clearly defining the target market, buyer profile, sales process, outreach expectations, qualification rules, reporting line and performance measures. These requirements should be defined before recruitment or employment setup.

What is the SOS EOR fee?

SOS charges one EOR management fee of US$190 per employee per month. This is the only SOS EOR rate. It is not a starting price, estimate or price range.

Is recruitment included?

Yes. Recruitment and candidate selection are included in the SOS EOR service. There is no separate recruitment fee. Salary, statutory contributions, 13th-month pay, benefits, allowances, equipment, commissions and other employee-specific costs are separate where applicable.

─ CASE STUDY | smartoutsourcing solution

Virtual Labs Case Study

SOS transformed a struggling Metaverse project by strengthening team management, accountability, and project delivery

PEOPLE • COMPLIANCE • SCALABILITY •GROWTH

─ In Brief

Engagement at a glance

CLIENT

Virtual Labs

CLIENT INDUSTRY

Singapore-based private equity company

INITIAL TRANSITION

15 professionals

CORE SERVICES

Team Management • Accountability • Project Delivery

PEAK WORKFORCE

─ overview

Executive Summary

A Singapore-based private equity company faced significant hurdles with their ambitious Metaverse project. Despite recruiting individuals from the Philippines to work on the initiative, they encountered major issues with management and control.

The team was not meeting deadlines, targets, or producing the expected output. SOS stepped in to take over the existing team, augment it with additional professionals, and implement rigorous management and oversight procedures.

─ ABOUT THE CLIENT

The Client

A Singapore-based private equity company working on an ambitious Metaverse project.

The company had recruited individuals from the Philippines to work on the initiative but faced significant challenges with management and control.

─ CASE STUDY EXPLAINED

The Challenge

Despite recruiting individuals from the Philippines to work on the cutting-edge Metaverse initiative, the company encountered major issues with management and control.

Team members were not meeting deadlines, targets, or producing the expected output.

Some paid employees were not fulfilling their responsibilities at all, leading to stalled progress and unmet objectives.

The engagement required SOS to address several needs at the same time:

─ OUR SERVICES

The Transition

SOS stepped in to take over the existing team and address the management challenges affecting the project. We augmented the team with additional professionals, culminating in a cohesive group of 15. Rigorous management and oversight procedures were implemented to ensure every team member was aligned with the project’s goals and timelines. The new approach focused on accountability, efficiency, and closely monitoring each team member’s progress.

Missed Deadlines

TAKE OVER & BUILD A TEAM OF 15

Stronger Accountability

Successful Project Delivery

─ OUR SOLUTION

The Solution

SOS stepped in to address these challenges head-on.

Our first action was to take over the existing team and augment it with additional professionals, culminating in a cohesive group of 15.

We implemented rigorous management and oversight procedures, ensuring that every team member was aligned with the project’s goals and timelines.

Understanding the complexity and innovative nature of the Metaverse project, we tailored our management approach to foster a culture of accountability and efficiency.

We closely monitored each team member’s progress, ensuring that their work aligned with the overarching strategy and objectives set by the private equity firm.

─ OUTCOME

The Results

RESULT	BUSINESS IMPACT
Successfully met each deadline	A stark contrast to the previous track record of the project.
Team attrition rates significantly decreased	Indicating a higher level of engagement and commitment to the project.
The team delivered the project successfully	Achieving milestones that had previously seemed out of reach.
Project management was transformed	Turning a struggling initiative into a successful venture.

Our proactive approach to managing the team transformed a struggling initiative into a successful venture, demonstrating the effectiveness of our methods and the value of our expertise in managing complex, technology-driven projects.

─ PARTNERSHIP

Client Perspective

Partnering with SOS was a game-changer for our Metaverse project. Before their involvement, we were grappling with missed deadlines and unproductive staff. SOS not only revitalized our team but also instilled a sense of discipline and purpose that was previously lacking. Their hands-on approach to management and deep understanding of our objectives were instrumental in turning our project around. We are deeply impressed by their professionalism and results-driven focus.

Sham Sundar

Head of Studio Operations, Virtual Labs PTE

─ Let's talk

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Whether you’re scaling your team, improving operations, or looking for the right support to grow, Smart Outsourcing Solution can help.

Let’s discuss how we can support your business and create a solution built around your needs.